Social welfare is mainly a public system, organized at the federal level and partially financed by an insurance system involving direct contributions by residents. An exception is health coverage, which is obligatory but decentralized among hundreds of insurance companies. Federal regulation of health coverage is minimal and contributions are not proportional to one's salary. Parental leave depends on sector-based agreements between employees and unions. During the last twenty-five years, public spending for social welfare increased more rapidly than the GDP because of the economic recession and increasing unemployment, as well as the extension of the social welfare system. The aging of the population is expected to increase the pressure on social welfare in the future. Nongovernmental organizations often are subsidized and provide complementary services notably in supporting the poor.
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